Tax Rates
|
Tax Rates
|
Macon County
|
|---|---|
|
Real Property (% of Market Value Assessed)
|
20%
|
|
Real Property (Millage Rate)
|
61
|
|
Personal Property Tax (M&E Used in Production): % of Market Value Assessed
|
20%
|
|
Personal Property Tax (M&E Used in Production): Millage Rate
|
61
|
|
Personal Property Tax (M&E Not Used in Production): % of Market Value Assessed
|
20%
|
|
Personal Property Tax (M&E Not Used in Production): Millage Rate
|
61
|
|
Sales and Use Tax on Manufacturing Equipment
|
2.75%
|
|
Sales and Use Tax on Non-Manufacturing Equipment (State + Local)
|
10%
|
|
Sales and Use Tax on Construction Materials
|
10%
|
|
Sales and Use Tax on Construction Labor
|
Exempt
|
|
Exempt if separately stated
|
|
Depreciation Schedule (Personal)
|
Remaining Taxable Value
|
Macon County
|
|---|---|
|
Year 0 (Year Machinery is purchased)
|
100
|
|
Year 1
|
.97
|
|
Year 2
|
.96
|
|
Year 3
|
.91
|
|
Year 4
|
.85
|
|
Year 5
|
.77
|
|
Year 6
|
.71
|
|
Year 7
|
.64
|
|
Year 8
|
.56
|
|
Year 9
|
.50
|
|
Year 10
|
.42
|
Terminal % (Ongoing Year 11-30)
Construction in Process is taxable at 100% of cost.
Alabama does not have a depreciation schedule for property tax. Personal property depreciation is estimated by the use of a remaining value of percent good and is derived from a composite factor. Personal property tax is calculated as follows:
Market value (original cost * composite factor) * 20% * millage rate.
See Composite Factor.
The economic life for manufacturing equipment depends on the business activity (8-20 year life), except for tools, dies and molds which have a three (3) year economic life. Nonmanufacturing equipment has a 10-year economic life, except for computers which have a three (3) year economic life. The economic life of manufacturing equipment is determined based on the business activity. The economic life for manufacturing equipment used in the manufacture of metal products is 12 and the economic life for manufacturing equipment used in a machine shop is 10.
Note: The link to the current composite factors listing is to be utilized for determining property tax based on the current October 1 lien date. Composite factors are subject to change every October 1. A future estimate could be identified by using the current composite factor (see link) for the 12-year economic life as follows:
- Year 1 – .97 composite factor
- Year 2 – .96 composite factor
- Year 3 – .91
- Year 4 – .85
- Year 5 – .77
- Year 6 – .71
- Year 7 – .64
- Year 8 – .56
- Year 9 – .50
- Year 10 – .42
|
UTILITIES SALES TAX RATES - Utilities Used In Production
|
Macon County
|
|---|---|
|
Electricity (%)
|
4% tax on gross receipts not over $40,000;
$1600 plus 3% on gross receipts over $40,000 but not over $60,000; and $2200 plus 2% on gross receipts over $60,000. |
|
Natural Gas (%)
|
See above
|
|
Water (%)
|
See above
|
|
Waste Water (%)
|
N/A
|
|
UTILITIES SALES TAX RATES - Utilities NOT Used In Production
|
Macon County
|
|---|---|
|
Electricity (%)
|
4% tax on gross receipts not over $40,000;
$1600 plus 3% on gross receipts over $40,000 but not over $60,000; and $2200 plus 2% on gross receipts over $60,000. |
|
Natural Gas (%)
|
See above
|
|
Water (%)
|
See above
|
|
Waste Water (%)
|
N/A
|
